Labour Court dismisses ex-Chegutu finance director’s appeal

FORMER Chegutu Municipality finance director Isaac Mhaka’s appeal against dismissal for fraud involving about $7 000 has been dismissed by the Labour Court.

Mhaka was discharged after a disciplinary hearing conducted in terms of the National Employment Code of Conduct, Statutory Instrument 15 of 2006.

He was found guilty on six counts of fraud or theft involving $7 074, which he converted to his own use on different occasions before he was subsequently dismissed.

Mhaka appealed against the findings of the disciplinary authority, arguing that it was not properly constituted as it was not backed by a council resolution.

He further appealed on grounds that the determination of the disciplinary authority was not clear on whether charges proved were for theft, fraud, acts of misconduct or omission inconsistent with the fulfilment of the express or implied conditions of his contract.

In her determination, Labour Court judge, Justice Emilia Muchawa dismissed Mhaka’s appeal with costs for lack of merit.

“The appointment of the disciplinary authority cannot be impugned merely on the basis of the appellant’s opinion that there should have been a council resolution,” he said

She said in that case the employer had leeway to exercise discretion.

On count one, Mhaka is said to have received $2 850 as rental from the Zimbabwe Mining Development Corporation (ZMDC), but he converted it to his own use.

In his defence, Mhaka said he had made arrangements with the ZMDC general manager and accountant to repair the rented house in exchange for rent credits. It was, however, proved that no such arrangement had been made.

“The disciplinary authority found that the appellant had no obligation to make payment for any repairs done and if any rent credits accrued, they would accrue to the respondent (Chegutu Municipality), who was the ZMDC tenant and not appellant (Mhaka),” reads part of the judgment.

Inconsistencies were also noted on the cost of repairs and that at the day of the hearing, Mhaka had not acquitted the $2 850 he had taken from council. He further took $220 on May 14, 2015, but a voucher was produced which showed that he used only $150.

The balance of $70 was only banked a year later after an audit raised a red flag on May 30, 2016.

In his defence, Mhaka said he forgot to bank the balance. The disciplinary authority argued that he should have done it when he brought the receipt in May of the previous year. On another count, he got $600 from council saying he wanted to pay the Institute of Certified Public Accountants Zimbabwe (ICPAZ).

Evidence gathered showed that he did not pay ICPAZ, but converted the money to his own use.

On April 13, 2015, Mhaka got $600, saying he wanted to pay City of Harare for a venue, but also converted the money to his own use.

He further raised a memo requesting $1 204 for travel and subsistence allowances for a trip to Zvishavane, which was paid out on February 20, 2015.

Mhaka said he only used $348 for an overnight trip to Redcliff in Kwekwe on the five-day Zvishavane trip.

It was established that he did not go to Redcliff as claimed.

He further argued in his defence that he did not require accommodation in Zvishavane, adding that he subsidised Chegutu Municipality by using $348 instead of the $1 204 he had claimed.

On the last charge Mhaka is said to have withheld allowances due to middle managers from April 2, 2015 to May 24, 2016. A bank statement showed that in total $2 010 was withdrawn during the period, with only three managers getting the allowances.

Mhaka said he used his own money amounting to $1 750 to pay the managers, as one Mr Mpangeri had not surrendered the money to him.

Ruled Justice Muchawa: “In the circumstances, the appellant (Mhaka) was properly found guilty of all the charges on the basis of both oral and documentary evidence.

“His defences were incredible. Consequently, the appeal be and is hereby dismissed with costs.”